Market Overview

Rubicon Project Announces Early Successes from Video Header Bidding Beta Test

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Rubicon Project (NYSE:RUBI), the Global Exchange for advertising, today
announced the initial results experienced by publishers using its video
header bidding offering, FastLane for Video. Now in open beta testing
with multiple video publishers, FastLane for Video is driving
double-digit percentage CPM rate increases and a 10X increase in
competition for each impression versus standard tag implementations.

Rubicon Project expects the FastLane for Video product to be generally
available in the second quarter of 2017. Importantly, FastLane for Video
is integrated in Rubicon Project's FastLane for display solution so a
publisher that has both video and display inventory is able to utilize a
single header bidding solution. Rubicon Project also supports the open
source Prebid.js header bidding wrapper, which makes it easy for
publishers to work with multiple header bidding providers should they
choose. Over 75% of Rubicon Project's premium publishers that currently
utilize a header bidding wrapper have chosen Prebid.js.

Tom Kershaw, Chief Technology Officer of Rubicon Project, commented,
"Video is, without a doubt, the most exciting, engaging and popular ad
format in the market today. Being able to offer a flexible variety of
video header bidding options empowers publishers to improve the value of
their audiences and secure enhanced advertiser spend. The success our
clients have seen with Exchange API and FastLane for Video reveals the
potential of header bidding for video as a key way to drive increased
value from a highly-engaging format."

Of particular significance are the results seen by FastLane for Video
beta user ZEDO, a leading global online ad platform partner offering
proprietary, high impact video creative ad formats that help publishers
generate new revenue. Since its implementation with FastLane for Video
across both standard web (desktop) and mobile websites, ZEDO has
experienced a remarkable lift across its overall video business,
including:

  • 19% lift in total publisher video revenue;
  • 11% lift in total publisher video fill rates; and
  • 7% lift in publisher average CPM.

"Working together to pioneer header bidding for video in the US has been
extremely rewarding. We've seen very noticeable benefits across the full
ecosystem," said Paul Prior, President of ZEDO. "Page yields for
publishers using our Outstream video solution together with Rubicon
Project's FastLane for Video have increased exponentially compared to
standard tag implementation. In addition, agencies and brand advertisers
have benefitted from a material increase in premium, first-look biddable
inventory, coupled with a much higher user/audience match rate. Page
latency for the user has been reduced as well. This has resulted in a
win-win-win for publishers, buyers, and consumers of our Outstream
video."

FastLane for Video consistently outperformed both RTB based
server-to-server integrations for video as well as VAST tag based
integrations. When tested with ZEDO, win rates across relevant campaign
KPIs processed through Rubicon Project's FastLane for Video technology
included:

  • 17% lift in CPMs as compared to a Tag based integration;
  • 8x more ad responses compared to a Tag based integration;
  • 6x increase in revenue compared to a Tag based integration; and
  • 5x increase in paid impressions from FastLane for Video as compared to
    a Tag based integration.

Ray Faust, Vice President of Emerging Media Sales at Star Tribune Media
Company, commented, "We've been pleased to partner with Rubicon Project
and ZEDO in leveraging the benefits of video Header Bidding to drive
higher yields for video across Star Tribune properties. This pioneering
capability provides a level playing field for buyers interested in Star
Tribune inventory, while ensuring we maximize the value of our audience
in the marketplace."

About Rubicon Project

Founded in 2007, Rubicon Project's mission is to keep the Internet free
and open and fuel its growth by making it easy and safe to buy and sell
advertising. Rubicon Project pioneered advertising automation technology
to enable the world's leading brands, content creators and application
developers to trade and protect trillions of advertising requests each
month and to improve the advertising experiences of consumers. Rubicon
Project is a publicly traded company (NYSE:RUBI) headquartered in Los
Angeles, California.

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